Drill Baby Drill, ctd

A few weeks ago, I posted the following chart, from Robert Rapier:

And in the comments of my post, I stated that the increases observed were the result of expanded domestic operations, as a hedge against fragile situations overseas.

Today, Rapier explains his position:

The current increases in oil production have little to do with Obama or Bush policies, but are simply a response to years of climbing oil prices.

But that cuts both ways. This is also the reason I have defended President Obama against criticisms that his decisions have caused gasoline prices to rise. The decisions he makes in this administration may ultimately impact gas prices, but due to the lag time they won’t impact gasoline prices for years.

I think we’re both right! Although I suspect that the price differentials are a bigger player than my guess.

 

 

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